Thai passenger flights dry up, but airlines pitch in with aid


Danny Chung


January 10, 2005


Hong Kong and China-based airlines are in the front line of aviation industry efforts to relieve the suffering of millions of people caught up in the tsunami devastation.

China Southern Airlines, the mainland's biggest airline by fleet size, diverted commercial cargo services from Leige in Belgium, Amsterdam and Chicago to Shanghai and Shenzhen for emergency flights.

The airline said its passenger services have not been affected.

``We have not experienced a drop in leisure or business travel during this crisis,'' China Southern's senior advisor for international public relations Jeff Ruffolo said.

Cathay Pacific's chief executive, Philip Chen, said it has raised HK$3 million, of which HK$1 million came from staff. Cathay donated HK$1 million and also matched contributions from staff.

On the international front, British Airways said it will be donating 1 million (HK$14.7 million), half of which is cash and the other half free tickets and cargo space.

Thai low-cost carrier Nok Air has offered free tickets to doctors wanting to travel to Phuket. And AirAsia said that along with its ``sister companies'' Thai AirAsia and AWAIR of Indonesia, it has been flying in relief workers, air supplies and doctors to help with the clear-up operation.

``These relief efforts are not quantifiable,`` AirAsia said when asked about the cost.

While they help out with relief efforts, airlines are undoubtedly suffering from loss of business from the tsunamis.

Dragonair, which ran a thrice- weekly service to Phuket before the disaster struck, has suspended services until the end of the month. The suspension has been caused by a ``severe drop in demand,`` a spokeswoman said.

According to the Centre for Asia Pacific Aviation (Capa), Air China, which recently listed on the Hong Kong stock exchange, suspended twice-weekly Beijing-to-Phuket services with no resumption date given.

Asiana of South Korea suspended services between Incheon and Phuket from December 30 until January 31.

Capa quoted Thai Air's estimate that the airline could lose 270 million baht (HK$53.59 million) from cancellations or postponements caused by the tsunamis.

Despite these setbacks, Capa is upbeat about the industry's ability to recover.

``Asia's aviation and tourism industry has demonstrated remarkable resilience in this era of the `constant shock syndrome', and will pull through this latest setback strongly,'' the centre wrote in a statement last week

It said the growing presence of low-cost carriers serving Thailand as well as confidence-restoring measures by Thai Airways and Thai tourism authority including industry groups such as the Pacific Asia Travel Association will restore demand for ``attractively priced travel''.

Cathay Pacific corporate communications manager for public affairs, Carolyn Leung, said

she expected passenger loads will be affected but does not see a long-term loss.

Celestial Asia Securities analyst Tony Tong said since the Thai route is only one of many for most airlines, the effect of the tsunamis in Southeast Asia will not have a significant financial effect. Tong said airlines had other pressures such as interest rate rises in the US and the high price of oil.

danny.chung@globalchina.comTsunami reports: A12, A13

 


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